Efficiency is the watchword at Asda Stores Ltd, under the banner of ‘fewer, friendlier, cheaper miles’, as the supermarket chain moves to a centralised planning structure, trials alternative fuel options and focuses on boosting utilisation and efficiency levels.
Huge gains have come from a proactive preventative maintenance programme which, aligned to strong third-party relationships and simply “doing the basics well”, has helped to more than halve Asda’s vehicle off-road (VOR) percentage to less than 5% across its 3,100-strong van fleet.
The business separates its leasing and maintenance contracts, using Hitachi Capital Vehicle Solutions for funding and Mercedes-Benz, Ford and Iveco for contract-backed repair and maintenance services. With Zenith co-ordinating the overall aftersales services across the majority of the fleet, this gives the best value and performance, with suppliers who can focus their concentration on meeting Asda’s needs.
Chris Hall (above), Asda Logistics Services (ALS) senior director – central logistics, explains: “It’s one thing providing the funding for the vehicle across its life but it’s another having the right skill set to maintain it. We’ve found that you don’t necessarily get the best deal if you try to do a one-stop shop.”
The key-partner approach results in a competitive leasing rate and the controls and processes to ensure fewer breakdowns and faster repairs. Asda points to Zenith’s software and data analysis which facilitate preventative maintenance, complemented by its solutions for reactive maintenance.
“It’s a different skill set to a transactional leasing offer,” Hall adds. “We’ve not found anyone that can provide both really well.”
ALS also runs a fleet of almost 1,000 tractor units and more than 3,000 trailers, of which a third are temperature-controlled. Premium brands Scania and Volvo, Asda’s long-time partners, maintain the trucks via their dealer networks.
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